Housing Authority Bonds
Housing Authority Bonds were issued and sold by the Fund´s predecessor, the Housing Authority, in order to recapitalize its older capital loans and to finance its new social loan categories. Housing Authority Bonds are annuity loans indexed through the Credit Terms Index or the Consumer Price Index, and carry a fixed interest of 2.7%. The credit period is either 10, 20, 24 or 42 years, with one or two installments yearly.Housing Authority Bonds are Government guaranteed and therefore have an equal Moody´s Aaa rating as the Housing Financing Fund and Government Bonds. Housing Authority Bonds represented around 3% of the Icelandic Government Bond market at the end of 2004.
Since the Housing Financing Fund issued its new series, HFF bonds, the Fund has ceased to issue new Housing Authority Bonds.
Go back